Things to Do in Panama City

This amazingly accessible park claims to be Latin America's only municipal wildlife reserve, draped luxuriantly across 232 hectares (573 acres) in the city center. Though not exactly pristine (it was a key staging area the 1989 US invasion), it remains a remarkably well-preserved dry tropical forest, one of the world's most threatened biomes, walking distance from the modern city.

Though hikers never quite escape the drone of civilization, it's easy to forget when wandering 4km (2.5mi) of trails along the Curundo River and up Mirador Cerro Cedro (150m/492ft), the second highest spot in the city. Squirrel monkeys (mono titis), two- and three-toed sloths, coatis, green iguanas, toucans, and many other animals call the park home.

A lush, volcanic archipelago lies just south of the capital, named for its iridescent undersea wealth: The Pearl Islands. Conquered by the Spanish in 1513, the 227 palm-fringed isles, famed for their postcard-perfect white beaches and clear aquamarine waters, once reported to gorgeous Isla Contadora, opulent seat of the Spanish pearl industry and closest major island to the capital.

Today, the old mansions of the "Counting Island" are owned by the international glitterati, who come to enjoy upscale dining and shopping options; snorkeling, diving, and kayaking off a dozen gorgeous beaches (including Panama's only clothing-optional playa); and hiking into the orchid-strewn highlands. Its easy access to the mainland and archipelago make it a great base for exploring paradise.

The first ships sailed through the Panama Canal in 1914, shaving nearly 9,000 miles off what was otherwise a very long sailing trip around South America. The engineering marvel transformed global trade, and today, 100 years after it was first installed, the canal has once again been expanded with new locks and widened existing ones, modernizing Panama Canal transit by allowing larger ships to pass from Panama City on the Pacific Ocean side to Colon on the Atlantic Ocean side.

Palm-lined Amador Causeway is famed for the fantastic views of Panama's skyscraping downtown, a yacht-strewn panorama across the Panama Bay to the graceful steel span of the Bridge of the Americas at the entrance of the canal. Scenic running paths follow the water, paved with stones used in the Canal's construction, along a causeway that stretches almost 3km (2mi) into the Pacific, connecting the city to three small islands: Noas, Perico and Flamenco.

Visitors from around the city and world come to here to play, plied by upscale shopping centers and local vendors displaying their wares to crowds strolling the causeway. It's also the city's hippest nightlife district, home to elegant bars, casual clubs and other entertainment venues.

Sparkling like a jewel at the edge of the enormous Darién wilderness, tranquil Bayano Lake was created in 1976 and has been a scenic escape from the big city ever since. Monkeys, big cats, and scores of bird species bring in the naturalists, while others visit indigenous Kuna villages, or hire pleasure boat at Puerto Coquira, with fine lake views from ranchero-style restaurants serving fresh tilapia and cold beer.

The famed Bayano Caves riddle the lake's undulating southern shore, a series of caverns carved by crashing waterfalls that echo through each smoothly rounded chamber. Tours include about an hour on the lake and its softly shaded tributaries, followed by a hike through the caverns and crystal clear subterranean streams.

Long before smallpox, conquistadors, and Catholicism made the Americas safe for European occupation, a group of Spanish sailors laid claim to the indigenous settlement of Panamá, "Land of Plenty." It was August 15, 1519, and they had no sense of what their tiny village would one day become.

Though Panama City is considered "Oldest Permanent European Settlement on the Pacific," the original Panamá Viejo (Old Panama) was abandoned after a devastating 1671 attack by Captain Morgan's pirate army. Today, you can wander its worn remains, including the old cathedral and several stone buildings and walls. 

The juxtaposition with modern Panama City, visible across the bay, is startling. Fascinating finds from ongoing archaeological excavations are displayed at the onsite museum.